After Obama reelection coal company CEO reads prayer to staff, announces layoffs
The head shaking part is in the comments. Lots of hate and ignorance about their own law.
All these layoffs are because the 2014 Obamacare fines will be calculated using 2013 full-time employee numbers over 50. All these hour reductions down to 29 hours? The bill redefines “full-time” as 30 hours of work a week.
(See below the fold for further explanations.)
So, if you have > 50 employees and they are full-time, you as a business have to provide health-care for them or be fined up to a max of $3000 per employee. Now, health-care insurance in the US for a business costs a lot of money, generally more than the $3k/year/employee.
So, you have a few choices as a business owner in order of least to greatest cost:
1) reduce all full-time to part-time
2) reduce workforce to < 50.
3) Combination of 1. and 2. to the point where profit > cost including fines.
4) Pay $3000 fine per employee
5) Pay for health insurance.
The most expensive option for a business is going to be least taken. That means that you must net at least $3000 pure profit per FT employee just to keep them on staff. Avg margins usually sit around 8-10%, which means that to profit $1 you need to make sales of $10. The other $9 go into materials/infrastructure/bills/labour. So NET profit to pay for these new costs mean that you must have TEN TIMES the number in NEW gross sales to generate enough per employee to pay the fine. $30,000 new sales per employee.
You wonder why everyone is being laid off? That’s why. Business has 60 days to figure out the math. Less if they are large businesses or union businesses that are required to give notice.
But, as we just learned, math is hard for people who have no skin in the game.
There is a lot of hate on for these smart business people for waiting until the election. Political retribution, they call it. No way Romney could have halted or killed the bill without the Senate, so that means it must have been revenge!
Back in reality what the business people were waiting for was State exemptions. That’s what Romney was promising and what he could deliver on day 1 because of the previous exemptions granted by Obama. That would have given everyone time
to relax and work out the kinks of Obamacare.
I have thought for awhile that Democrat narrative and thought processes are getting very close to the “Wrecker” idea of the Soviet Union.
Any problems with the Obama economy/Obamacare etc will be blamed on Republlican business owners taking out their pique-the “Wreckers.” It would be interesting to learn more about that aspect of Soviet propoganda and how it compares to the Democrat/MSM/Obama narrative. Maybe Clarissa could help in that line.
Fifty one percent of Americans are about to learn that actions have consequences. The problem is not that they have to learn the hard way, but that they insist on forcing the 49% who disagreed to share in the pain.
Not to worry … a little MORE regulation can FIX that.
“Not to worry … a little MORE regulation can FIX that.
Posted by: OMMAG at November 9, 2012 2:00 PM ”
You want regulations, how about “a metastatic expansion of regulation.”
“With no big legislation coming, the unfolding of regulation will be the big story. It is news to most Americans, but the ACA and Dodd-Frank are not regulations written in law. They are mostly authorization to write regulations. They are full of “the secretary shall write rules governing xyz” with a timetable. Most of that timetable starts today, November 7 2012. You don’t have to think the administration is a bunch of willy nilly regulators to foresee a metastatic expansion of regulation.”
http://johnhcochrane.blogspot.ca/2012/11/predictions.html
Tax evasion is set to become a national sport in the US.
Eventually the parasites always kill their host.
I wonder what the Democrats are thinking. Again, my point is that their sole agenda is power; they are planning, now, the 2016 campaign.
In a way, it sounds weird, but I’ll say, forget and ignore what Obama says. He’s an empty chair. He doesn’t make policies; he pontificates and campaigns. Right now, he is saying he wants to raise taxes on ‘the rich’ so that they pay their ‘fair share’. Heh, they already pay 70% of the taxes. It’s talk.
Surely the Democrats realize that ‘the rich’, defined as anyone making over 200,000 a year, are primarily small businesses which generally file as individuals rather than corporations. Such a tax increase would seriously harm the small business economy of the US. That’s a direct step to a recession and even depression.
Then, there is ObamaCare, which is geared to further destroy the small business economy.
If the Democrats do this, then, they’ll lose the 2016 election. They won’t be able to support their newly minted massive electoral base who are all dependent on government funds.
Obama doesn’t make policies. His backroom gang does. I’ll predict that unless the Democrats are insane (they are unethical and corrupt but not insance) that they’ll come up with some compromise.
Mojo is correct. The underground economy (to be given a more negative sounding name by the MSM) will become a big point in the national discussion within the next two years.
After all, it’s what happens wherever socialism is implemented. The US will be no different.
Recommend looking at the blog “Surviving in Argentina”. The man has a lot of good discussion on what to expect from socilaist decline.
Isn’t it obvious, ET? Single-payer health-care.
Think about it. Mass-layoffs and hours reduction forces everyone into self-directed insurance.
The law also forces insurance companies to dramatically raise their rates. 30% is what I read somewhere today.
What’s the next logical step for the have-nots? Demand the gov’t pay for their insurance. For the children, of course.
Now, what’s going to be interesting is how they’re going to pay for it. If, as now, they siphon off business, they’re screwed even more.
If they go like Canada and make the people pay for it…they’ll probably lose, free stuff, you know.
It’s weird what the fools did in Washington negotiating that bill. Totally horrendous.
Anyway, single-payer system aside, I’m bloody glad I live in Canada. The people pay for their medical system and we have just about the lowest corporate tax in the world.
We’re gonna boom while the US falls down.
What the obama supporters are about to find out is that when the democrats spoke of taxing those other people the people being referred to where them.
Just like any socialist policy, it depends on a majority of voters being convinced that somebody else will pay for their govenment program.
This works until they run out of other peoples money.
glad I live in Canada. The people pay for their medical system
But they don’t get value for their dollar because those that are actually paying are supporting others who are not paying but are still entitled to the same level of service as those who are paying.
I never said the system was good up here, glasnost. I am totally against single delivery.
I don’t mind single payer.
“If the Democrats do this, then, they’ll lose the 2016 election.”
Again, look to California. The Democrats have been destroying the California economy for many, many years. They just won super-majorities in the California state legislature, and a referendum authorizing further tax increases. California went past the event horizon long ago and will inevitably be crushed by her government’s policies, yet her people cannot even muster the tiniest bit of resistance to save themselves.
ET, I fear you are completely blind to what the Democrats represent. Fixing the economy is the LAST thing they want to do. No, they are REMAKING the economy into some awful top-down, tax-heavy, class-warfare-riven, redistributionist, crony-ridden mess akin to any number of socialist hellholes on this planet. In so doing they will create so many dependents, clients, and despondents, that there will simply no longer be a large enough mass of courageous free men remaining to effectively oppose them.
Besides, by 2016 it will be far too late. America will be utterly bankrupt by then.
Bill Whittle has a plan of action that I really, really like. Google it:
The Common Sense Resistance
49% is still a helluva lot of people, and more than enough to deal with scum like Obama and his democrats.
Make no mistake, the people getting laid off will almost certainly be Donks…and many, many more are on their way to the unemployment office. One is tempted to feel sorry for them, but as others have noted – stupid people only learn one way: the hard way.
Stupid question; since Obama cannot run again what is he going to do with all the time he’ll save by not campaigning? I’m guessing 400 rounds of golf.
The Democrats are imitating the Romanoffs. Nothing was the fault of the Czars, it was always a policy or regulation implemented by the bureaucrats that hurt the people. In the same way, the EPA, DHS and HHS etc are now free to make life or death decisions. By transferring regulatory powers from Congress to unelected bureaucrats within those government departments the voters can no longer hold government accountable. ‘We the people’ have effectively been removed from control.
I really hope that Mr Harper and Ms Raitt are front and centre with respect to enticing these very same companies to set up shop in Canada.
Goolsby was out this morning saying that the economy is heading for a recession. What a difference a few days make with these guys. It’s so transparent and yet as usual MSM libtards just parrot regime talking points all day.
Does a company have to cover healthcare for overnight “labour contractors”?
Just wondering.
BREAKING :
Patraeus resigns – says it is because of extra-marital affair.
On a Friday. after the election.
The 50+% that voted for Obummer, are all in the same group (Mentally wise) as the woman from Fargo, ND wanting the Deer Crossing Signs moved. Apparently she believed that the deer read the signs too.! (check out that lil video on U-tube folks.!). A perfect insight into American thought processes..or should I say the screaming lack therof.
Petraeus resigns! Unbelievable. Was the Obama Gang going to try to pin Benghazi on him, and he slipped away from them?
Whether the affair is genuine or not, will come out in a day or two, but Petraeus essentially deprived the Obama Gang of their key scapegoat.
Hmmm. And we’ll see Hillary quit. What, what’s going on?
I’m not surprised Mr. Murray’s praying for his employees. You should too.
Everyone knows that among the objectives of Obama and his cronies is to transform North America into a place where a man from a hard-working, God-fearing English, Scottish, or Irish Protestant family finds it impossible to earn a living that does more than (barely) keep his own body and soul together, never mind raise a family. If they can possibly be replaced by a machine made with slave labour in China, or by a Third World immigrant who knows nothing of British liberty and can be trusted to vote for Chelsea Clinton or Malia Obama without asking questions, they will be.
Meanwhile, the elite get to walk off not just with the cultural heritage but with the flower of British North American womanhood for their harems, now that all serious competition is gone. Third World riffraff will get to fight over the leftovers.
Hence, small businesses are to be strangled in the cradle if they refuse to sell out to larger, publically held, which is to say bankster-controlled firms. Can’t have a “redneck” with any regard for his neighbours’ futures be in charge of anything too important.
Seems like that part of Obama’s agenda’s going according to plan. No prizes for guessing what sort of person works for Murray in coal country. Here’s a hint anyway: they’d look a bit out of place in the South Side of Chicago.
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go to a bookstore or your local library and get
michelle malkin’s book… “culture of corruption”.
obama, hillary, rahm… they’re all on the take.
if this book doesn’t send your bloodpressure
through the roof, nothing ever will.
*
I wonder how long it takes an American business person to become a Canadian. There should be an influx of people who just want to work and earn their pay, instead of being over taxed for their success. I feel sorry for those who must lay-off good workers and just as bad for those laid off – just before Christmas.
The reason they waited was that Mitt Romney said that the first thing he would do was approve the XL Pipeline and cancell Obama-care. Already the LIEberals are saying this is revenge and nothing to do with Obama’s policies – which the media will push.
This is what the LIEberal/NDP-Q would also do in Canada if they ever got in power – sad.
Harper should offer American businesses some incentives to come to Canada, allow them to transfer sixty percent of their American staff to Canada and work permits are part of that transfer, tax breaks for the company for five years. It will add Canadian jobs and we’ll get foreign workers who share our values.
The press will portray this as a triumph of Obama and the Democrats… “we created the 29 hour work week!”
I don’t think it’s going to matter at all. I think if the US lasts for six months before declaring bankruptcy i’ll be surprised. The little weasel Reid has already declared he’ll have no problem increasing the debt limit by $2.4T. Really. Just like that. Goodbye and goodnight.
The query du jour on Google: Denounce citizenship
http://www.zerohedge.com/news/2012-11-09/obamas-victory-very-bullish-google-search-query
No sympathy here for any of these people who voted for Obama. And that goes for New York and New Jersey, too: they voted for him overwhelmingly even after he turned his back on them to return to campaigning.
“Let the Eastern bastards freeze in the dark.”
Fred @ 2:09 …. exactly my point.
Or, you know, the CEO could maybe not be such a greedy sack of s__t.
40 years ago, the average CEO earned about 25 times as much as a worker. Now it’s more like 300X.
If small businesses are doing badly, it’s not because the mega-rich are being taxed heavily. It’s because the middle class is earning less, and therefore has less money to spend on goods and services without going into debt.
Obama is financially crippling Americans and breaking their spirit, and before Christmas, too. He is a b—–d.
As was said before, everyone is going to learn the hard way what a second term for this dictator will mean. If we can make a few bucks off of it, so be it, but if the US goes off the fiscal cliff, it will hang on to us before it crashes down.
John, you’re right. The earning power of the middle-class is less… thanks to Obama:
http://usatoday30.usatoday.com/money/economy/story/2011-10-25/middle-class-disappearing/50914822/1
Do you REALLY think the wealthy AREN’T going to hide their cash now? George Soros doesn’t give his money to the proles. You must be joking.
Obamacare, which no one wanted, is now costing jobs AND earning power for whoever isn’t laid off.
If you want to see what the elite looks like, look no further than the Jackhole-in-Chief.
It’s called capital flight.
When people fear their wealth will be taken/taxed from them. France has seen an exodus with newly elected socialist Hollande and his 75% rate for those earning 1 million+ euros.
If Harper and Co. doesn’t lay out the red carpet and attract U.S. corporations to Canada I’d say they are dropping the ball!
Go ahead, John. Show us the math how this is equitable and fair. Show us how business can survive and hire within the guidelines of your hero’s health-care plan. Go ahead, write a book, sell it, make your own millions.
Because you know, math doesn’t give a crap if you’re a bleeding heart or a greedy bastard. It’s always right and if there is one law in this world that is in anyway similar to ‘liquid flows downhill’, it’s ‘business will choose the cheapest option’.
Told you . You argue and argue but you can’t ever deny That We Told You So.
Gods, I’m in love with ET’s brain.
Such clarity and competence.
I disagree a bit on triangulation, though.
I agree on they’ll steal the credi while laying the blame- thats SOP- but I see Argentina instead.
Kirchener collapsed it to get and remain in power, to this day.
Dems triggered 2008 deliberately with a 2 Trillion short of the ABX derivatives index, among other things, placing the key man and delivering Congress.
Coklapse II is coming- permanent Rule.
The Dems are an internationale, not American, Cartel
Their Dream is Empire.
Cutting hours to less than 30 per week or the number of employees to less than 50, for the sole purpose of exempting one’s company from Obamacare rules, is so obvious that one wonders why the establishment media didn’t point to this as a likely outcome. (Just kidding!) No, the purveyors of this legislation knew full well that this would happen, and enacted it anyway. Why encourage this behavior? Axelrod: “Never let a good crisis go to waste.” (And if there isn’t one handy, let’s cause one.)
We need to be careful – Quebec and Ontario represent more than 50% of the total population. The takers are already larger than the makers. I live in Ontario and the takers are still as delusional as ever. The PS unions are actually saying that McGuinty is loading all the deficit issues on them. Quebec is a lost cause. I did not go to the last rally to keep them in during Chretien’s debacle, although at the time I wanted them to stay. I would now pay for a bus load to rally to kick them out. Post McGuinty, we’ll see if Ontario can bring some semblance of math to their brains, or I will apply to emigrate to sanity in the west.
The Common Sense Resistance
Posted by: Big Bad Jim at November 9, 2012 2:44 PM
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Watched the entire thing. Much of it, but not all, my wife & I have touched upon in past discussions……it’s starting with the new media.
You are so right about the commentary on that article Lance = Unbelievable self destructive conditioned response. These Obama people really are anti American in their reflexive thought. Old Uncle Sam is on his death bed – take a real revolution now to get him back from the parasitic hoards and their police state.
To see the full effect of obamas win we only have to keep a eye on the number of citizens on food stamps. Today it’s 47,142,570 @7pm MST. I would expect to see that number climb rapidly over the next couple months.
http://www.usdebtclock.org/index.html
Bill Whittle also mentioned to prepare for the overall taxation to jump to 50% levels.
Our American cousins have just doubled down on their very own version of trudeau-mania.
Ok math is hard – let’s agree on that.
Here’s some math we can agree on. 50% of the population is stupid. Blame it on whatever you like – genetics most likely. This crowd is incapable of operating in the modern world except at an entry level.
Modern technology has rendered them usless. That is why we have welfare. These guys can’t find jobs…or refuse to work.
However, all of this crowd can vote – the same as the other 50%…. Why would they want to change anything?
“Show us how business can survive and hire within the guidelines of your hero’s health-care plan. ”
Sure thing. Ever heard of a place called Canada?
They have universal healthcare and the economy is quite robust. Perhaps the US should move towards that model?
“John, you’re right. The earning power of the middle-class is less… thanks to Obama:”
You might want to take note when that trend started. And analyse the numbers for who policies most support that trend.
http://ivn.us/2012/08/26/the-fall-of-the-us-middle-class-what-ten-years-makes/
What will the mainstream media companies do on 1/1/13? They’ll have to pony up for Obamacare too. Or will it be layoffs? Part-timers?
The solution to every political issue lies in one statement: No person has the right to initiate the use of force or fraud on any other person. Ayn Rand got it right.
Yes, John, Canada has universal limited single-payer, single-delivery health care funded by income tax.
Obamacare is NOT that. Obamacare is funded by business, because, you know, make the rich pay.
Good luck to the Dems explaining to the free-stuff folks that instead of 30% business tax they’re going to 12% like Canada and that instead of low income taxes they’re going to bump personal taxes 100% (double: 20 to 40) and institute a 5% VAT.
Good luck with that.
The tax cuts that GWB signed into being expire in Jan 2013?
And Harry Reid wants to raise taxes, on top of this.
And add the additional cost of Obamacare.
And add the elevated transportation costs of +/- $4.00 / gallon fuel.
It sounds to me like he hates the USA.
Guess I won’t be moving the US anytime soon. Was looking into what was needed to get my Florida medical licensure as at my age I no longer feel I have to tolerate Canadian winters. I guess Florida won’t be one of the cheapest places in the US to live much longer and time to get a load of firewood and put in a large Amazon winter reading order.
Heard from people down there about the huge job losses that would be coming if Obozo was re-elected. The big news prior to the election was the 150,000 government jobs that were created (likely through statistical manipulation). Now, 3 days after the election the job losses total 125,000 and growing steadily.
Considering that the people who voted for Obozocare never read the bill before they voted for it, not surprising that it never occurred to them that there are still some numerate people left in the country and the US now beats France with its 29 hour work week.
What does worry me, though, is that Washington and Colorado have legalized possession of cannabis and that could seriously damage the BC economy if these states get into large scale production.
Vin Suprynowicz’s book The Ballad of Carl Drega introduced me to the concept of the equivalent of the mine canary in statist societies. Look for a lot of Carl Drega-like events to start happening RSN with the usual statist over-reaction to same.
The same statist morons who brought you Detroit are now going to attempt to duplicate their masterpiece on a continental scale. ET, these people are blind ideologues and the only thing they care about is creating an “equal” society but that they are a lot more equal than the majority of the population. The only way to deal with such statists is extermination and I suspect we’ll be seeing soon whether the US population is made up of sheeple or whether there are still some of the individualist freedom loving types who built the country around.
The rich should pay. If not higher wages, than higher taxes. Whatever. I don’t really care. Their choice.
And before you start screeching “commie!!!” I actually support people making gobs of money. That’s totally awesome. But they don’t do it alone. They do it with the labour of all of the people under them. And those people deserve to enjoy their share of the take, but what we have been seeing over the past 30 years, is people making less, while executive compensation goes through the roof. This is fact.
So yeah. In the states, these F___ers should have to pay. Or, the Americans could work towards developing a system like Canada’s, which delivers solid care for a smaller percentage of our GDP than what the Americans pay. Again. This is fact.
You guys are nothing short of suckers.